- BAE Systems received a $198.4 million U.S. Army contract modification to produce 240 additional Armored Multi-Purpose Vehicles.
- The award raises the total value of the AMPV contract to $2.48 billion, with work running through May 2028 in York, Pennsylvania.
BAE Systems has secured a new $198.4 million contract modification from the U.S. Army to produce an additional 240 Armored Multi-Purpose Vehicles (AMPVs).
The award is a fixed-price-incentive modification to contract W56HZV-23-C-0024, and brings the total value of the agreement to just under $2.48 billion. The Army Contracting Command at Detroit Arsenal, Michigan, is managing the effort.
According to the contract notice, “This modification provides a revision to the Armored Multi-Purpose Vehicles, supporting the purchase of 240 vehicles to prevent a break in production.”
Work under this modification will be carried out in York, Pennsylvania, where BAE Systems has long operated one of its key armored vehicle production lines. The effort is expected to continue through May 31, 2028.
The funding comes from fiscal 2026 Army procurement accounts designated for weapons and tracked combat vehicles. All $198.4 million was obligated at the time of the award.
AMPVs are designed to replace the Army’s aging M113 fleet with a more modern family of tracked vehicles sharing a common platform and powertrain. The program includes multiple variants for mission-specific roles, such as command and control, mortar carrier, medical evacuation, and general-purpose transport.
The Army’s push to sustain production through continuous ordering cycles reflects its long-term commitment to phasing out the M113 series while ensuring that no industrial base gaps delay delivery timelines.
The vehicle, manufactured by BAE Systems and operated by the U.S. Army, is engineered to offer enhanced survivability and mobility on the battlefield. It is intended to operate alongside other armored platforms like the M2 Bradley and the M1 Abrams.
In earlier statements, BAE Systems emphasized that AMPV’s modular architecture and open design are built to accommodate future upgrades and evolving mission needs.
The Army has already fielded early batches of AMPVs to armored brigade combat teams, with feedback informing improvements in subsequent production lots. The additional 240 vehicles ordered under this contract will help sustain that fielding momentum.